Recently, the cryptocurrency market has seen a clear rise in the number of Bitcoin wallets containing at least $1000 worth of BTC. A report from Fidelity Digital Assets revealed that these wallets have increased by 20% since the beginning of 2024, reaching an all-time high.

The number of wallets holding $1000 or more in Bitcoin has doubled from 5.3 million in 2023 to 10.6 million in 2024. This growth has also been seen in addresses with smaller amounts, showing a 101% increase as of March 13th.

Despite the increase in Bitcoin prices, the report suggests that the rise in addresses with smaller amounts might indicate a growing interest in Bitcoin. However, factors such as price increases and address consolidation could be influencing these trends.

Additionally, the report noted a decrease in the amount of Bitcoin held in exchanges due to various exchange issues in 2023. This has led to an increase in self-custody among Bitcoin owners, with exchange balances dropping by 30% in the first quarter of 2024.

Changes in the net position of long-term Bitcoin holders have also been observed, with significant sell-offs at the end of 2023. These sell-offs, however, are different from past cycles, as investors perceived Bitcoin as overvalued before the halving.

As of now, the current price of Bitcoin is $63,769, having pulled back from above $64,000 earlier in the day. While expectations are positive for Bitcoin post-halving, historical data suggests that Bitcoin typically sees a downward trend in May.